Today's Edition
A. SREENIVASA REDDY (ABU DHABI)
The stake will be sold to Vega, an acquisition vehicle wholly owned by the family of French billionaire Xavier Niel.
“e& has signed a binding agreement with Vega, an acquisition vehicle wholly owned by the Niel family group, to divest its entire holding,” the disclosure said.
The transaction follows a comprehensive strategic review of e&’s international investment portfolio. As part of the move, the company said it had terminated its Relationship Agreement with Vodafone Group Plc, while its board representative had stepped down as a non-executive director of Vodafone.
The company said it no longer seeks to exert control or influence over Vodafone’s board or management. It expressed appreciation for the partnership and said it looked forward to exploring future opportunities for collaboration that could create mutual value.
Under the agreement, e& will sell its entire holding of 3,944,743,685 ordinary shares in Vodafone, representing about 16.21% of Vodafone’s share capital and 17.13% of its total voting rights.
The agreed consideration is £1.125 per share, comprising approximately £1.105 per share to be paid in cash by the buyer and Vodafone’s final FY2026 dividend of 2.02 pence per share, which is scheduled to be received on July 30, 2026.
The disclosure said the shares would initially be transferred through simultaneous off-market block trades to three financial institutions, which would hold them until Vega secures the required regulatory approvals. Vodafone Group is primarily listed on the London Stock Exchange.
According to e&, the board’s decision to exit the investment reflects the natural evolution of the group’s strategic priorities, enabling it to sharpen its focus on its core businesses while unlocking the value created through the investment.
Upon completion of the transfer of the shares to the financial institutions, the transaction is expected to generate cash proceeds of about Dh21.8 billion ($5.95 billion), including the final FY2026 dividend.
The company said the sale would result in a net cash return of about Dh4.7 billion ($1.3 billion). Completion of the transaction remains subject to customary closing conditions and is expected to take place in the near future.
